Cytûn
represents the principal Christian denominations in Wales and a
number of other Christian organisations which work in Wales. The
denominations have some 150,000 adult members, and meaningful
contact with many more adults, children and young people in every
community in Wales. A full list of Cytûn members can be found
here:http://www.cytun.co.uk/hafan/en/who-we-are/

This consultation is
very timely in terms of Cytûn’s work. In December 2018,
Cytûn wrote on behalf of a number of our members – the
Free Church Council for Wales, the Society of Friends in Wales and
the Church in Wales – at all the principal banks which
operate in Wales, and to the Post Office. The purpose of these
letters was to express concern regarding the number of bank
branches which are closing in Wales at the present time. A number
of towns and whole areas of Wales now have no operational bank
branch, and some also lack a Post Office. At the same time, an
article was published in the Pedair tudalen (the section of
the denominational weeklies,Y Tyst, Y
Goleuadand Seren
Cymru which is shared interdenominatioonally) encouraging
church members to use their remaining local bank branches, as lack
of use is the explanation usually given by banks for closing
them.

We believe that
branch closures create severe difficulties for many people,
including:

Local
businesses and charities – including churches – who
need to pay cash and cheques into their account and do not wish, or
are not able, to carry money insecurely over long
distances.

Elderly and
disabled people and young families especially who cannot travel
long distances to a branch for physical or financial
reasons.

The recipients
of Universal Credit, as it is rolled out, who require a bank
account in order to have the money which they need to
live.

When the cash
machine is closed with the branch, customers may be left having to
pay a fee for collecting cash, and with private company machines
that do not use the Welsh language.

Anyone who
cannot, or who does not wish to, use online banking facilities, or
who feels more confident discussing financial matters face to face
rather than on the phone or with a machine. Many areas of Wales
still lack suitable broadband connections for secure online
banking.

Those who bank
through the medium of Welsh. The banks spent many years developing
Welsh language services on the phone and at branches, but no bank
offers online banking through the medium of Welsh.

We are also
concerned at the aggressive marketing of online banking in some
branches at the moment, despite the fact that the
‘success’ of such marketing would lead directly to
closing the branch. We understand that banks are private businesses
with duties to their shareholders, but we believe that they are
also offering an essential public service.

We suggested in our
letter that some of these matters could be addressed at modest
cost. For example, we asked whether banks would be willing to
consider:

Arranging with
the Post Office that a greater range of banking services be
available to their customers at its counters than
currently.

Arranging
together that the final bank in any community offers banking
services on behalf of all the banks, in order to avoid the
considerable effort of transferring accounts from one bank to
another – difficult for individuals, but often impossible for
businesses and charities because of the multitude of security
requirements.

Committing to
meaningful local consultation, including consultation on solutions
such as the above, before taking the final decision to close any
branch.

We received a reply
from every bank apart from TSB. These replies were similar to each
other. One (from Lloyds) is attached as an example - we would be
happy to supply all the responses if the Committee felt that this
would be useful. We did not feel that the replies had adequately
addressed our concerns, and their replies were negative to the
first two suggestions above. We were disappointed also that every
reply came in English only (although one bank did offer to provide
a translation into Welsh upon request).

We also received a
reply from the Post Office. We felt that this response was rather
more hopeful, and we have arranged a meeting with Stuart Taylor,
Post Office External Affairs Manager for Wales and the South West
[of England] on May 23. We would be happy to supply a report on
that meeting to the Committee if you so wish.

We wish the
Committee well in addressing this matter. We note with considerable
interest in the terms of reference for this inquiry the suggestion
that a community bank could be established with branches in Wales.
In the light of the disappointing response of the current banks, we
would urge the Committee seriously to consider this possibility for
the sake of our communities.

We would be glad to
offer any further assistance that the Committee might
require.